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2014 (12) TMI 567 - HC - Income TaxRejection of books of accounts and reduction of NP @ 6% against 12% - Held that:- The Tribunal has applied a net profit rate of 6% as it was in consonance with the past history of the assessee - in the preceding as well as the following year a net profit rate of 6.75% and 5% respectively was applied by the AO and has also placed on record order for AY 2009-2010 where a net profit rate of 5% has been applied to the assessee – there was no error in the discretion exercised by the Tribunal in applying a net profit rate of 6%. TDS deduction on outstanding at the year of FY - Held that:- The Tribunal has merely restored the matter to the AO by asking him to verify the transactions and if found to be correct, pass orders and held that the appeal is in relation to the disallowance made out of payments of labour charges paid for non-deduction of tax at source under the provisions of section 194C of the Act - disallowance was made by invoking the provisions of section 40(a)(ia) – in ACIT Vs. Merilyn Shipping & Transports [2012 (4) TMI 290 - ITAT VISAKHAPATNAM] it has been laid down that where the amounts have been paid during the year under consideration itself and nothing is payable at the close of the year, no disallowance was warranted u/s 40(a)(ia) of the Act for non-deduction of tax at source out of such amount paid during the year – the AO is rightly directed to verify the stand of assessee – thus, the order of the Tribunal is upheld – Decided against revenue. Whether payments were made by the assessee during the year under consideration – Held that:- ₹ 8,04,948/- added on account of work in progress, had already been taken into account in the total costs of the works and, therefore, the addition made by the AO assessing officer was not warranted – no question of law arises for consideration regarding the matter – Decided against revenue.
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